CANBERRA – US soybean futures rose for a second consecutive session on Monday after the US Department of Agriculture (USDA) projected that domestic supplies of the oilseed would remain tight into 2022, stoking concerns of global supply.
Corn rose 1 percent despite an improved production outlook in South America while wheat climbed more than 0.5 percent.
The most-active soybean futures on the Chicago Board of Trade were up 0.4percent at $13.83 a bushel, after closing 0.2 percent higher in the previous session.
“Price gains, as of late, suggest the market is well-aware that supply is tight,” said Tobin Gorey, director of agricultural strategy, Commonwealth Bank of Australia.
US stockpiles of corn and soybeans are expected to increase only slightly by the end of the 2021/22 marketing year on Aug. 31, 2022, as strong demand was seen absorbing record-large harvests of the crops that will be planted this spring.